In a move that has raised concerns among banking customers, commercial banks across the country have significantly increased the fees for withdrawing money from non-host ATMs. Effective immediately, customers will now pay Rs 35 for each transaction at ATMs not owned by their bank, up from the previous fee of Rs 23.44.
The new fee structure allocates Rs 28 of each transaction to the host bank, while Rs 7 goes to the 1LINK interbank network. Banks cite rising service costs and operational expenses as the rationale behind this decision.
However, many citizens are expressing their discontent, viewing the fee hike as an added financial strain, particularly for low-income customers. The State Bank has noted that the previous fee had remained unchanged for several years, and the new rate could impose a significant burden on average consumers.
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In response to customer feedback, some banks, including Habib Bank Limited (HBL), are offering limited discounts to specific account holders. For instance, customers with a Freedom or Work account who maintain a minimum monthly deposit of Rs. 40,000 will incur a reduced fee.
As these changes take effect, the impact on banking customers remains to be seen, with ongoing discussions about the balance between operational costs and customer affordability.
